Informa has announced its acquisition of Clarion Events from Blackstone for £2.24 billion, a move that positions the public events company to expand its footprint in high-growth markets, particularly in gaming.
Blackstone originally acquired Clarion in 2017 from Providence Equity Partners, managing the company through the trying circumstances of the Covid pandemic when live events faced significant disruptions.
The acquisition, revealed on Tuesday, is projected to finalize in the fourth quarter of 2026, valuing Clarion at approximately 11.1 times its anticipated EBITDA for 2027. Informa anticipates that Clarion’s comprehensive portfolio will bolster its immediate presence across strategic sectors, with a revenue forecast of over £575 million ($761.6 million) for 2027.
Under this agreement, Informa will gain Clarion’s renowned WorldGaming business, which features flagship events such as ICE and iGB L!VE, as well as other significant brands within sectors like defense and electronics.
Stephen Carter, CEO of Informa, emphasized that this acquisition reflects the company's commitment to becoming the leading B2B live events organization globally, a goal first outlined in 2013. Through this deal, he noted, Informa will not only enhance its existing capabilities but also emphasize its established position in the gaming industry.
Carter stated that the merger would solidify Informa's reputation as a major international entity in B2B live events, projecting annual revenues exceeding $6 billion and an underlying revenue growth rate of 7%.
Alex Pratt, managing director of Clarion’s WorldGaming division, remarked positively about the acquisition, stating that Informa's data and digital resources are precisely what the business ecosystem needs to accelerate growth.
Once the acquisition is concluded, Informa's B2B live events sector is expected to generate over £4.2 billion in revenues from an extensive network of about 1,000 specialized brands.
Informa also highlighted substantial growth opportunities in regions such as North America, Asia, and particularly IMEA (India, Middle East, and Africa), where Clarion currently has minimal representation.
The merger is set to provide significant potential for increased revenues by merging the complementary strengths of both organizations. Informa estimates that the acquisition could result in operating synergies of around £50 million per year, achieved through more efficient operations and shared services. It also projects an additional £25 million in annual operating profit from new revenue streams by 2029.
Lisa Hannant, the current CEO of Clarion Events, will maintain her position and become part of Informa's executive leadership team. She stated that this acquisition marks a pivotal moment for Clarion, recognizing the value of its brands and the dedication of its teams.
The acquisition will be financed through a mixture of cash, acquisition financing, and proceeds from an equity placing and retail offering totaling approximately £940 million. Despite the magnitude of the deal, Informa expects its net debt ratio to stay below three times EBITDA by the end of 2026, dropping to below 2.5 times by the conclusion of 2027. Additionally, the company will suspend its share buyback program to facilitate this purchase.
Informa anticipates a mid-single-digit percentage increase in adjusted diluted earnings per share by 2027 and expects a double-digit post-tax return on invested capital within three years.
